Saudi minister indicates delay on Jazan refinery

Saudi Arabia's 400,000 bpd refinery and terminal in Jazan on the Red Sea will be completed within four years, the kingdom's oil minister Ali al-Naimi has said, indicating a delay in the long expected mega plant.

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By SUMMER SAID

Saudi Arabia's 400,000 bpd refinery and terminal in Jazan on
the Red Sea will be completed within four years, the kingdom's
oil minister Ali al-Naimi has said, indicating a delay in the
long expected mega plant.

"We are now working on building a huge industrial project in the Jazan region that
will include an advanced refinery, which will be completed
within four years," Mr. Naimi said in speech published by the
official Saudi Press Agency."

Saudi Aramco said in 2012 the complex was scheduled to be
completed in late 2016. It has signed engineering, procurement
and construction contracts for the project.

However, industry sources have said the refinery is facing
some delays in the infrastructure.

The Jazan refinery will provide refined products for the
domestic market, which is facing rapidly rising demand. The
marine terminal will have the capacity to handle very large
crude carriers for the supply of crude oil to the refinery, and
berths to support refined product exports from the refinery.

The project was initially due to be
implemented by the Saudi government as a private sector
initiative but, after generating limited interest, was handed
over to Aramco.

Saudi Arabia, the Middle East's biggest economy, has seen
its domestic energy requirements surge in recent years as the
government spent oil revenues on new industries and
infrastructure to diversify the local economy and as the
kingdom's population grows.

Aramco, top oil exporter Saudi Arabia, plans to invest $35
billion over the next five years in crude oil exploration and
development in a bid to keep its oil production portfolio
robust, the firm's chief executive, Khalid al-Falih, said last
year.

Dow Jones Newswires

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I am an Engineer in Electrical Communications and Electronics Engineering, Greenwich University London, United Kingdom. I worked in different fields as CMMS administrator and Maintenance Planning Engineer in oil and Gas company,Maintenance and Service Administrator Engineer and Warranty and Service Administrator Engineer in Auto companies. Gas Distribution Station Engineer in NATGAS and Telecom Tower Installation Engineer in Alkan Networks Co.as well as an IT Engineer.

b j rao09.25.2013

The management of the project should consider MIDREX (USA) reformer to meet the Hydrogen requirement of the plant. This reformer is @8% energy efficient when compare with conventional Steam Methane Reformer (SMR) / Auto Thermal Reformer (ATR). This reduces CO2 emissions and conservation of Natural Resources (NG)